Week 12- ( Chap.21) -BMW's Customer Relationship Management ( CRM )

In BMW the first approach into CRM was launched in 1999. It was the same at many other companies. It was mainly driven out of the IT community leveraging the new CRM applications and the call-in capabilities for enhanced business processes. As I said in the product concept chapter that BMW's success builds upon two major pillars, brand and products. One of the biggest challenges they have is: to convince the employees that they share knowledge. As you can guess, salespersons see customer knowledge as their personal assets.

Now, the company uses Siebel Automative as their CRM software. Siebel Systems, Inc., is a provider of business applications software, and it announced that "BMW North America Sales (BMWNA) and BMW Financial Services (BMWFS) have deployed Siebel Automotive in their contact centers to enhance the customer experience and increase customer loyalty and retention. BMW has also deployed functionality from Siebel Automotive's Customer- and Vehicle-Centric Service and Integrated Captive Finance solution sets, leveraging the Siebel Automotive embedded best-practice business processes, automotive industry functionality, and common customer infrastructure across business units." 

This system manage and leverages the core functionality : Siebel Sales, Siebel Service, Siebel Call Center, and related products, and builds upon it specific functionality that car companies require. 

Contact center representatives in both Sales and Financial Services now have full visibility into each customer's total relationship with BMW. A representative, for example, can see that a particular customer has more than one BMW product or perhaps has a banking relationship with BMW Financial Services. At the same time, BMW can maintain data confidentiality to meet legal requirements. As a result, customers are receiving more personalized service, resulting in enhanced customer relationships and increased loyalty. Going back to chapter 16, the task of promotion are: informing, persuading, and reminding the target customer about the products and services offered within the company, so with the appropriate IT and CRM application this task can be fulfill and bring tons of profit to the company. For example, according to Nicole Carusso, BMW of Manhattan Marketing Manager, "BMW use its CRM system and database to keep track of anything pending for a customer, supplier or partner. Calls to be made. Appointments scheduled. Forecasted sales. Potential opportunities. Outstanding quotes. Open service issues. This good CRM system has calendars, activity lists and forms so that this kind of information doesn’t fall through the cracks. It has reminders and automatic emails. It has the ability to schedule follow-ups for others in their company. Nothing gets forgotten."

Week 11-(Chap.16)- BMW's Integrated Marketing Communication

BMW is an automobile dealer that manufactures and sells a wide range of vehicles. The BMW automobiles are sold to a special target market and appeals only to a particular stratum of people. BMW vehicles are classy, stylish, comfortable and luxurious. With regard to the BMW films, which can be viewed on www.bmw.com, there are a number of reasons surrounding the success of these films. The films allow prospective customers to view the cars before purchasing them. Marketers ensured that the visitors to the site felt compelled to stay at the site. They associated each model of the vehicle to that of human attributes. For example, the BMW Formula M was described as having a ‘soul’. When consumers see these attributes, they suddenly begin to identify with these attributes, and then create an image and personality of the vehicle for themselves, by also giving the vehicles personal human traits as well. The site also offers consumers the option of customizing their own vehicle to their preference and taste. Another reason the BMW site and films have increased sales for the company is that marketers have used dynamic features for the site. The site is portrayed as a type of one-stop shopping, because not only are BMW vehicles showcased, but an online magazine is on the site. If visitors to the site do not wish to make a purchase, they may opt to view the online magazine. Marketers embarked on an intense Integrated Marketing Campaign that gave rise to increased interest and traffic to the BMW site. Integrated Marketing Communication (IMC) is a strategy used to plan, execute and monitor communication about a brand in a consistent way. In addition, the IMC is aimed at attracting and retaining customers. The marketers of the BMW site had to have extensive knowledge of the brand, competitors and target audience. Through the IMC plan on the Internet, marketers were able to use a direct marketing channel to reach it target audience. In addition, the type of distribution channel that was employed by marketers on the BMW website was to perform the facilitating function, where contact was made with buyers, the needs of buyers were matched with the product and they had ideal communication strategies to ensure effective information transfer. The success of the BMW films also include the that fact that each vehicle is presented with the possible fuel consumption information as well as the model of the vehicle that would be most appropriate for the consumer based on the model chosen and the consumer’s lifestyle. When marketers cater to the needs of customers and a positive perception of the brand has been created, the success of the product is inevitable.

Week 10-(Chap.10)- BMW's Product Concepts

I've been talking about BMW company during this project,  and what really make it been successful is its products. BMW is a global brand that has established its product all around the world. To remind you about the BMW history, BMW started building plane motors like the BMW IV six cylinder engine which achieved a world record altitude of 9,760m (32,000 ft). Then it made their First BMW motorcycle, the R32 twin. In 1928 BMW starts car manufacture.  The first car was an Austin Seven built under license. After that BMW has take for consideration to build small and sport cars. In 2001 the launched the MINI. Today, BMW Product line is very large. Here I can show their product standards
BMW
The BMW brand stands for one thing: sheer driving pleasure. Sporting and dynamic performance combined with superb design and exclusive quality. 
MINI
The MINI brand wins hearts and turns heads. MINI is refreshingly different: extroverted, spontaneous and in every respect something out of the ordinary. Ideal for a society that was young, unconventional and ready for change, the MINI Classic became a cult vehicle in the sixties and seventies. Since then the brand has lost none of its youthful charm. MINI is part of a lifestyle that is cosmopolitan and confident, ready for everything.
Rolls–Royce Motor Cars
Rolls-Royce Motor Cars has been part of the BMW Group since 1998 and trading started on January 1, 2003. 
Rolls-Royce is one of the most fascinating and well-known brands in the world, the luxury motor car par excellence. For over 100 years, motor cars of the Rolls-Royce brand have stood for truly outstanding engineering, quality and reliability.
The BMW products are:
1 Series, 3 Series, 5 Series, 6 Series, 7 Series, x3, x5, x6,z4, BMW motorcycle, The Roll-Royce Motor Cars, and M Series(I am focus in this car during this project)

BMW M combines technology and expertise gained from BMW's motorsport activities and translates it for the road. BMW M launched its first road car (M1) in 1978 and the range has since expanded to include the M3 Coupé, Convertible and Saloon, the M5 Touring and Saloon, the M6 Coupé and Convertible and the Z4 M Roadster and Coupé.

Now watch this videos and you will see their concept in th

eir cars:

They also have Clothing,WOW!

Week 9- (Chap.18) -BMW's Sales Promotion and Personal Selling

BMW has many ways to market its products. From creating amazing advertisements to conducting an wonderful advertising campaign. They do everything in order to reach and remind the customers the great benefits of BMW's products. On the other hand, must important is the "Sales Promotion" they often use to create this behavior in customers. As a car manufacturer, BMW focuses on selling to retailers in a B2B condition. For that, they use training to teach retailers how to sell the latest models. In addition, BMW makes trade promotions where they show new product to several customers including retailers. Now, if you go to BMW Central store you will see that prices are less expensive. This is because there're few BMW Central store that distributes the merchandise  throughout the United States. Also, you can find more specials and services like the BMW Ultimate Service. "Only BMW offers a comprehensive suite of premium vehicle maintenance services for absolutely no cost: buy a BMW now and pay no maintenance costs for 4 years or 50,000 miles, whichever comes first". Now this statement just said a key word: " Absolutely free". 

Brand Maintenance Costs*

Acura$970.75

Audi$967.17

BMW$0

Cadillac$744.26

Infiniti$649.40

Jaguar$1112.53

LandRover$233.52

Lexus$974.22

Lincoln$922.14

Mercedes-Benz$1086.60

Porsche$1032.14

Saab$385.29

Volvo$918.93

This extra value or premium service give the customer a great deal when purchasing a BMW in one their central store. My experience is my BMW store visit was that they have a place (part assembling line & tune up and maintenance)  where you can take your BMW and they will receive and fix for you.  

Source:

2007 IntelliChoice, Inc., www.intellichoice.com. Maintenance figures shown based on 4 Years/50,000 Miles, excluding tire replacement costs. 

Week 8- ( Chap. 17) -BMW’s Advertising and Public Relations

After we all saw the funny and attractive BMW commercial with Madonna, we deducted that BMW is a great advertiser  and that it actually has great ads. In this BMW’s ad,  the message that was sent to the audience is that BMW can buy this famous artist, Madonna, and make her look like an idiot. Not good for her, but good for the car reputation. BMW is a very expensive advertiser. This company invests in TV ads (branding campaigns and new car launches), radio, press (colored press such as; Vogue, lifestyle magazines, motoring publications, broadsheet newspapers and tabloid newspaper weekend), Outdoor campaigns, street sign posts., online advertising, cinema and digital. As I said in chapter 1 BMW white and blue logo is well known all around the world, and this is because the great delivery of its trademark logo and brand. There are some logos that reflect luxury, and BMW is one of this. In addition, BMW adverts  focus on BMW's brand values; however the way these are expressed evolves in response to economic, environmental and competitive changes. One thing that all BMW adverts have in common is that they focus entirely on the cars as we saw with the Madonna and James Brown Ads. One of the biggest actors in their commercial is Clive Owen, a famous English actor. BMW uses another flexible medium to communicate its message,the radio, and they use the voice of Will Layman, an American actor with a resonant voice that has narrated the PBS series Frontline. Advertising is of course part of the marketing concept. The delivery of its products and services makes BMW a multimillionaire company. I can surely say that the advertising has contributed to the customer purchasing decision or intentions. If you see their commercial twice, there is no way you don’t want to have their cars. They tend to be funny in most of their commercial because they already have the credibility in their image and positive power to do so. BMW is a well known brand, and it only needs to remind the customer to buy the excellent products.

I am glad to get this video ads a put it here as a example of what I just said above, so check you will enjoy it:

Do you understand the last video?

As a major public relation tool BMW uses new product publicity to establish their efficient-dynamics program , and to show how this car differentiate from other luxury cars . They use the media to create excitement to their customers. According to the MKGT book by Charles Lamb, he says that "For instance, BMW produced a mockumentary about a small German village attempting to launch a BMW 1 Series coupe across the Atlantic  to land to United States. The humorous film drew lots of attention on auto blogs and stayed popular even after BMW explained that is was an ad. " 

Week 7 ( Chap. 15)- BMW's Retailing

Today I had an amazing day. I went to BMW Manhattan subsidiary that exclusively imports it products from Munich, Germany. The store is located in 555 West 57th St, Manhattan. The cars that were exhibited there for sale generally imported from Germany, so I felt very excited to touch a part of Germany here in United States. It was a educational and crazy trip. First, they didn't me to take any picture. However, I used my spy techniques to gather information for my marketing class at BMCC. Secondly, I met the Marketing manager Nicole Caruso.  She is very nice and she looks very professional. After I spoke to her she gave me her card and number for any question and some magazines. Isn't that amazing?  This is  a center store in Manhattan that sells the cars in the standardized price. It is totally different from a dealer. The building is very well designed and you can see the car exhibits from the outside where they have it parked. Inside, it has a New and  Certified Pre Owned section, a Motorcycle section and a tune-up  / maintenance factory where they sell and assembly the car parts. All you see there, inner and outer,  is the BMW's logo. As you can see I love this cars. So, for me it was more than a homework. I visualized myself having a BMW X3 Series. And of course a learned more facts about every car they have in their spectrum. It helped to be more informed to decide my future car. For those of you who like to buy in special and discount, BMW of Manhattan  offers these cars:  all 2007 BMW 328i, 328XI,335i,335XI,750LI. Those cars are in hot prices!

BMW of Manhattan, Inc. opened in 1992. Over the years, company growth has far surpassed all expectations - the vehicle sales volume and number of employees has grown significantly, and our BMW Center continuously succeeds in executing new and innovative programs to better serve our customers.

In spring 2005, BMW of Manhattan opened its first sales satellite location at 67 Wall Street for BMW new vehicles, at the corner of Wall and Pearl. In April of 2006, we opened another three-level CPO satellite facility at 793-801 11th Avenue, between 55th and 56th Streets for BMW Certified Pre-Owned Sales and now occupy more than 330,000 square feet in Manhattan.

It mission statement is: 

"Our mission at BMW of Manhattan, Inc. is to provide clients with the highest standard in sales, professionalism, and customer service. It is this devotion partnered with corporate citizenship, social responsibility and work environment that have contributed to our growth. BMW of Manhattan, Inc. sells and services New and Certified Pre Owned BMWs, BMW Motorcycles, and MINIs."    

You can see more Pictures at:http://s1177.photobucket.com/albums/x355/Ariel_Sosa/BMW%20Of%20Manhattan/?start=20

Week5- ( Chap. 5)- Developing Global Vision (BMW's Global Marketing)

BMW is a giant multinational corporation. It's headquarter is in Munich, Germany, and it has subsidiaries in South Africa, United States, India, China, Canada, Austria, and Egypt. As a result, this company a a great example of job outsourcing. In addition, it has bring a lot of employment in the United States and Canada. BMW South Africa was the first wholly owned subsidiary of BMW to be established outside Germany. South African built BMWs are now exported to right hand drive markets including Japan, Australia, New Zealand, the United Kingdom, Malaysia, Singapore, and Hong Kong, as well as Sub-Saharan Africa. Since 1997, BMW South Africa has produced vehicles in left hand drive for export to Taiwan, the United States and Iran, as well as South America. It is also good to make an emphasis in the Oriental demographic, the corporation has target a market that is full of people who buy based on technology and safety after the USA and Japan, and Canada. China is one the subsidiaries. In 2003 BMW and Brilliance Automobile ( China) signed a deal for the production of sedans in China. These vehicles may differ significantly from those sold in other markets under the same name( here we can see that BMw had to adapt its invention, production, and promotion .) Brilliance's joint venture with BMW, as of June, 2010, imports nearly half of the auto parts used in production from Germany. In India the corporation started operation in the first quarter of 2007 and produces the different variants of BMW X3 Series and BMW 5 Series. In Egypt, Bavarian Auto Group is a multinational group of companies established in March 2003 when it was appointed as the sole importer of BMW and MINI in Egypt, with exclusive rights for import, assembly, distribution, sales and after-sales support of BMW products in Egypt. Going back to the Western the BMW of North America has a revenue of $2,690.00 millions in sales compared to the $68,455.00 in Munich. It means that this vehicles and motorcycles are still consider as niche market in the United States. However if you go to Europe and Eastern country you will find the treasure of BMW. Even though BMW adapt its products to different market, BMW still with the same a ideology of a luxurious and sporty car with its white and blue logo. 

Sources:http://lib2.bmcc.cuny.edu:2107/servlet/BCRC?k=CO&locID=cuny_mancc&srchtp=cmp&ste=56&tbst=tsCS&tcp=bmw+&rcp=CO&picde=&rsic=PK&rcd=&prnm=&prty=&CC=&SC=&search.x=14&search.y=5